Antibiotice Iasi posts 8 pct increase in sales revenues in 2018; exports account for 35 pct of total sales

Thursday’s General Shareholders’ Meeting of Antibiotice SA resulted in the approval of the audited financial status for 2018, setting up the distribution of the 2018 net profit, as well as the value of the gross dividend per share, according to a company statement.

The company’s 2018 audited financial results were in line with strategic objectives with a focus on international scaling, and showed an 8 percent increase in sales revenues to RON 364.5 million and a 2 percent increase in post-tax profit that reached RON 34.3 million, while the exploitation profit increased by 5 percent, to a total of RON 39.3 million.

The results for 2018 reflect an ample management programme with effects on business profitability and a reduction of the considerable impact generated by the clawback tax, which grew by 25 percent compared to 2017, reaching RON 36.4 million and thus exceeding the value of the net profit, the company states.

On the Romanian market, Antibiotice had a turnover increased of 9.4 percent in 2018 compared to the previous year. In the same period, according to Cegedim Romania, sales in pharmacies and hospitals had a 7.4 percent increase, reaching a total of RON 339.3 million.

Antibiotice remains the market leader on the hospital-sold generic and OTC drugs market, with a value of RON 85.9 million in 2018, an 8 percent increase compared to 2017 and a market share of 18 percent. At the same time, the 2018 portfolio allowed the company to maintain a market lead position on the injectable powder market with a 72 percent market share, as well as for ointments (26 percent market share) and suppositories (42 percent).

On the generic and OTC drugs market, the company holds the third place on the market with a 5 percent share, while ranking 13^th of 221 companies producing non-prescription drugs and OTC nutritional supplements. The growth Antibiotice had on this segment in 2018 reached 14.4 percent, which was equal to the growth recorded on the overall market.

Antibiotice’s exports reached 35 percent of the total sales volume in 2018, with a 6 percent growth compared to the previous year and a total value of RON 124 million. The Nystatin product represents 52 percent of exports and had a 10 percent increase compared to 2017 and was used by producers in over 50 countries as raw material for various pharmaceutical products.

The most significant growth in 2018 was recorded on the Asian market as a result of its branch in Vietnam, which led to 37 percent more sales. In 2018, Antibiotice also opened its third international branch, in Ukraine. The company’s other two international branches are in Vietnam and the Republic of Moldova, which have been very successful. In parallel, foundations were laid for new collaborations in African markets such as Tunisia, South Africa, Ethiopia, as well as in South-East Asian markets such as the Philippines and Hong Kong, which could develop the business further from 2020 onwards.

Following the shareholders’ vote, it was decided that the value of the gross dividend per share would be RON 0.009991506. Dividends will be paid starting September 2019 and will total RON 6.7 million.